Turkish pipe maker Erciyas Çelik Boru Sanayi A.Ş. has announced its financial results for the first nine months of 2022.
Accordingly, in the given period Erciyas registered a net profit of TRY 82.88 million ($5.82 million), compared to a net profit of TRY 35.39 million in the same period of 2021. In the first nine months this year, the company’s sales revenues were TRY 2.5 billion ($157.8 million), compared to TRY 584.85 million in the same period last year. In the given period, Erciyas recorded an operating profit of TRY 516.33 million ($32.52 million), compared to an operating profit of TRY 167.41 million in the first nine months of the previous year.
In the January-September period of this year, Erciyas sold 86,000 mt of pipes, compared to 50,000 mt recorded in the same period of the previous year. In the given period, 83 percent of the company’s total pipe sales tonnage consisted of export sales.
According to the company’s statement, low steel prices in the Asian market forces Turkish steel producers to sell below their costs or to reduce their capacity. It is foreseen that this situation will continue for a while and steel sales prices may decrease. On the other hand, if Turkish steel producers maintain their capacity and European steel producers reduce their capacity, with the increase in demand from Europe, it may lead to an upward movement in prices in the coming period.